This. As long as people don't make too big an issue of it publicly the lobbies will make sure it's not changed.
If Durkin and Obama sell the Futures Industry down the river on this one, you will see the Dallas Mercantile Exchange announced prior to the November '12 elections.
Thanks Robert. Again, remember I'm on your side..I'm just preaching caution when dealing with the media!!! Thanks again for all you do for we traders. Best Wishes!
No new taxes, period. As someone already pointed out, 60/40 defrays some of the costs associated with rolling maturities that would never qualify for long term capital gains. Talking about "fairness" opens up a whole can of worms that will bite stock traders in the ass too - is it "fair" that a one year holder of USO qualifies for 100% LTCG while I'm taxed 60/40 for rolling forward NYMEX WTI? And although I'm sure this is way over Sorkin's head, any new taxation just throws sand into the wheels of global finance. You will force marginal players out, widen spreads, and make legitimate hedgers pay inferior prices. As usual, it will trickle down and hurt the middle class consumer the most.
Government needs taxes. They need to decide a reasonably fair distribution of where they will get them... then ENFORCE the policies fairly... "not have special interests exempt in exchange for their vote support"... nor loopholes. Easiest way is a fair and FLAT tax. Exempt the first $30,000 or so of income so that lower incomes are not especially hosed... then apply the lowest, fairest, most broadly based tax policy. Any other approach (especially "progressive tax rates") is discriminatory, unfair, and rife with fraud.
Fully agree! Or implement the Fair Tax iwth a very very very generous rebate to ensure low income earners pay litlle o rno tax.
In zero sum game of futures, all the winners' gains are offset by the losers' losses. Winners are taxed and losers are limited to $3,000 deduction per year, which will probably take a lifetime to use up. Even though all winners' gains are offset by losers' losses, i.e. zero net capital gain across all individuals, it still creates lots of tax revenue to the government.